Solana News Today: Top Crypto Firms Raise $1 Billion for Solana Treasury Amid 6% Price Drop

Galaxy Digital, Jump Crypto, and Multicoin Capital are reportedly in talks to raise $1 billion to establish a dedicated Solana (SOL) treasury, marking one of the largest institutional moves into the asset to date. The initiative involves acquiring a publicly traded vehicle to hold SOL on corporate balance sheets and is being managed by lead banker Cantor Fitzgerald LP [4]. The funding aims to increase institutional adoption of Solana, a high-performance blockchain platform known for its scalability and low transaction fees.

The proposed treasury is backed by the Solana Foundation and several major crypto firms, with the goal of accumulating supply on a balance sheet to support long-term demand. Staking yields for Solana are reported to be over 7%, making the asset more attractive compared to Ethereum’s lower staking returns [1]. The plan includes the use of a centralized treasury to purchase and stake SOL, generating returns while signaling institutional conviction in the network [1].

News of the proposed fund has coincided with mixed market conditions. Solana’s price has slipped slightly amid broader market uncertainty, including a recent whale dump of 25,000 BTC, which triggered a sharp sell-off in Bitcoin and affected the broader crypto market [5]. Despite the volatility, Ethereum has continued to rise, reaching new all-time highs. This suggests that capital is shifting toward altcoins with strong fundamentals and active development.

The proposed Solana treasury deal is notable for its scale and strategic approach. By forming a dedicated treasury focused on a single asset, the firms are signaling a long-term commitment to Solana’s ecosystem. The involvement of Cantor Fitzgerald indicates a serious, compliance-focused approach, which is expected to enhance the credibility of the initiative [4].

Analysts note that a significant inflow of capital into SOL may stabilize its price, attract more institutional buyers, and enhance Solana’s position in the competitive smart contract platform market. However, the immediate impact on the price has been mixed, with traders reacting cautiously to the news [5]. The broader crypto market remains sensitive to large on-chain movements and macroeconomic developments, and the outcome of this institutional Solana push could influence market sentiment and capital allocation in the second half of 2025.

Futures open interest for Solana hit a record high of $6.34 billion on August 24, according to Coinanalyze. Liquidation data show recent forced closures were predominantly long positions, totaling $22 million and $18 million on August 25 and 24, respectively. Solana’s price fell nearly 6% on the day according to CoinGecko [1].

The initiative could also reinforce the narrative for a Solana ETF, as large-scale treasury purchases may serve as a proxy for institutional demand. However, net inflows may not match those seen with Bitcoin or Ethereum. A coordinated buy narrative and institutional credibility could amplify the impact more than the treasury alone.

The reported $1 billion Solana treasury fund would mark a milestone in corporate crypto reserves, combining concentrated demand with staking returns and institutional signaling. While short-term price moves remain influenced by broader market flows, the initiative could strengthen long-term SOL fundamentals.

Source:

[1] AInvest - https://www.ainvest.com/news/solana-news-today-top-crypto-firms-raise-1-billion-buy-solana-tokens-2508/

[4] 99Bitcoins - https://99bitcoins.com/news/altcoins/live-latest-crypto-updates-25-august-why-is-crypto-down-today-whale-unload-25k-bitcoins-as-ethereum-price-hits-new-ath-best-crypto-to-buy-right-now/